Hungary’s October inflation report and the third-quarter earnings of Polish lender Bank Polska Kasa Opieki SA, or Pekao, will be in focus in the region Tuesday.

Hungarian consumer price inflation eased to 6.0% on the year in October from 6.6% in September, more than expected, supporting some central bankers’ claims that Hungary’s easing cycle is rightly in place.

POLAND: Poland’s postal administration is reluctant to hand over control of its banking unit Bank Pocztowy to state-controlled PKO Bank Polski SA, which has made overtures to buy the business, but it may eventually be pushed into cooperation by the government, a person familiar with the process said.

HUNGARY: Hungary’s central bank is against taking unconventional measures such as buying government bonds that could upset its aim to bring down inflation, central bankers told DJ FX Trader Monday. “The interest rate is the number one and the most articulate tool for monetary policy. Quantitative easing is unimaginable,” Ferenc Gerhardt, a member of the Hungarian central bank’s Monetary Policy Council said in a joint interview with fellow rate-setter Andrea Bartfai-Mager.

ROMANIA: Romania’s Finance Ministry plans to attract 150 million euros ($191 million) from the local market by reopening a May 2014 euro-denominated bond, which carries a 4.5% coupon, news agency Mediafax reported. The auction is scheduled for Friday, according to a statement posted Monday on the ministry’s website. The bond issue was first launched in May 2011, when the ministry sold EUR939.2 million worth of paper, at an average yield of 4.89%.

BULGARIA: Russia’s VTB Bank and local lender Corporate Commercial Bank on Monday closed a debt restructuring deal in which it acquired 93.99% in Bulgaria’s former telecom monopoly Vivacom, the company said in a statement.

About Emerging Europe

Emerging Europe Real Time provides sharp analysis and insight into what’s making news in Central and Eastern Europe. Drawing on the expertise of our reporters in the Czech Republic, Hungary, Poland, Russia and Turkey, the site provides an inside track on economics, politics and business in this emerging part of the European continent.